Cheque It Out

Sri Lankan politicians love to hold Singapore up as a role model for economic prosperity.
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But come Nov. 17, politicians will have something to crow about, when campaigning for this month's presidential poll – though the subject matter is esoteric, like cheque truncation.
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Sri Lankan politicians love to hold Singapore up as a role model for economic prosperity. But come Nov. 17, politicians will have something to crow about, when campaigning for this month's presidential poll – though the subject matter is esoteric, like cheque truncation. Paradise isle has quietly raced ahead of its Asian neighbours to become the second country behind the Lion City, Hong Kong and Qatar, to shift to image clearing technology to process cheques.
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Truncation is a digital clearing system, that eliminates the physical transport of cheques among bank branches and the clearing house.

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Low Usage

The Indian Ocean island, often aspires to be a financial hub, but its citizens prefer to use wads of cash, over paper cheques to trade.

But that has not stopped the island's cheque clearing house – Lankaclear – from adopting an electronic system to cut systematic risks and ensure funds are transferred within two-days.

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